Belated employees' PF and ESIC contribution disallowance upheld in return processing under section 143(1).

Belated employees' contribution to provident fund and ESIC was treated as disallowable, and the adjustment was held permissible while processing the return under section 143(1). The Tribunal noted that the legal position on delayed employee contributions had already been settled against the assessee, and the ex parte appeal failed. The disallowance was therefore upheld.

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Issues: Whether the disallowance of belated employees' contribution to provident fund and ESIC, made while processing the return under section 143(1), was sustainable.

Analysis: The assessee did not appear and the matter was proceeded ex parte. The Tribunal noted that the legal position on belated employees' contribution to provident fund and ESIC had already been settled against the assessee and that such adjustment was also permissible in proceedings under section 143(1).

Conclusion: The disallowance was upheld and the appeal was rejected.

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